In a statement on Thursday, Sony Corp. It was the second major retailer in as many months to throw its weight behind Blu-ray in the industrywide standards war reminiscent of VHS and Betamax. Blockbuster, the largest U. Mass market acceptance of high-definition video is still some way off, due in part to the high price of the devices, and the fact that some movies and programs are available on one platform and not the other.
Reporting by Franklin Paul. Copyright Reuters All rights reserved. Users may download and print extracts of content from this website for their own personal and non-commercial use only. The positioning includes e clusivity and quality based on price. Business Analysis: This is the phase where companies involved should have been reviewing sales, costs, and profit projections for the new products to determine feasibility.
Product Development: This is the phase where each camp and the companies therein needed to determine the specifications of the products, including storage capacity, image quality, and content availability. Thus, all these companies are combatants with a vested interested in the home video maret. The point of this question is to force students to consider the alternatives pointed out in the case.
Thus, the cable companies are combatants. Additionally, many of the same companies who are part of either the "lu 6ay Disc Association or the 3D DVD coalition are also competing either directly or indirectly with their own physical formats. Cicrosoft bacs 3D DVD, but is also has its hand in various ventures leading down the path of online video.
Thus, the question of who the combatants will be in five years is purely speculative, but fun and challenging for students to consider. Open navigation menu. Close suggestions Search Search. Skip carousel. Carousel Previous. Carousel Next. What is Scribd?
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Classify the high-definition DVD market using the product life-cycle framework. Based on this analysis, what objectives and strategies should Sony and the other competitors pursue? Are any of the competitors deviating from this formula? Product Development : When the company finds and develops a new-product idea.
Introduction : It is a period of slow sales growth as the product is introduced in the market. Profit is nonexistent because of heavy expenses of product introduction. Growth : It is a period of rapid market acceptance and increasing profits Maturity : It is a period of slowdown in sales growth because the product has achieved acceptance by most potential buyer. Decline : It is the period when sales fall off and profits drop. High Definition DVD were than in the introductory stage of the product life cycle.
But this changed quickly over the course of and I didn't either. But a lot of people used Windows 3. Microsoft can stick to a plan in a way that conservative committees making decisions at Sony cannot. Of course, just because Microsoft sticks with a decision doesn't mean they are fanatical. You don't see them promoting Microsoft Bob these days.
But when they believe, they put their money behind it. Netscape used to own the browser market too but Microsoft won that with an inferior product. HD-DVD has the benefit of not only being not inferior, it's also cheaper. Hollywood: The most ridiculous, faith-based nonsensical thing I have read or heard on this subject has been that the Warner Bros.
Nothing could be further from financial reality. Broadcom and Sigma and other chip companies have to think about foundries and inventory and manufacturing estimates - without huge write-offs, they are stuck on their path. Hollywood studios do not have that concern because they are not in the manufacturing business. Studios are going to make movies in whatever format the public wants, Warner Bros. Whatever money Warner Bros.
But they do not dictate to the market what the market will buy. How can that be possible? Is a player that costs twice as much going to win based on movie sales? Not necessarily. If Blu-ray sells machines and each customer bought 7 discs with it, that's good for studios and not great for player manufacturers. Which of those groups can easily change direction? The studios. Studios have to make discs for people who want to buy.
The perception that hardware companies can fight to the last drop of studio blood is misguided. Toshiba has made no secret that they think, all things being equal, the same quality at a lower price will win. Aficianados can argue until they are blue in the face about bit rates but to the average user, the quality of either format will be spectacular.
So I think Blu-ray is going to lose this fight. Maybe not. I founded Science 2. Full Site. Physical Sciences. Subscribe to the newsletter. Hank Campbell. But what about the people who make the content and the decision, those bean counters in Apple may have an iDisc in the works right now. Science 2. About I founded Science 2. View Profile. View the discussion thread. Apply for a column: writing science At Science 2.
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